Google said on Thursday that it will pay $90 million in damages for the outcome of the lawsuit to developers who accuse Google of abusing its app publishing power and charging an unfair 30% fee for in-app purchases and in-app purchases made through the Play Store.
Who will get paid?
The company noted that American developers who earned less than $2 million each year through the Google Play Store between 2016 and 2021 will be eligible for compensation. It was stated that the majority of US developers who generate income through Google Play will be entitled to receive money from this fund if they wish. If the court approves the deal, qualifying developers will be notified and made to receive funding.
How much will be paid?
The law firm that represents the plaintiffs, Hagens Berman Sobol Shapiro LLP, said developers are entitled to a minimum refund of $250 (up to $200,000). The company noted that more than 48,000 developers in the United States are eligible to be paid by Google.
Google said it has revised its developer distribution agreement document, which clearly states that developers can communicate with users in non-app means, such as promotional emails, along with the $90 million payment fund.
How much is the Play Store tax?
To address criticism of the 30% Play Store tax, Google had reduced the cut to 15% for developers who earned $1 million each year in 2021. It later reduced Play Store fees to 15% for subscription-based apps and up to 10% for certain categories of media apps like e-books and music distribution.
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